Cointime

Cointime

Download App
iOS & Android

Federal Court Orders South African CEO to Pay Over $3.4 Billion for Forex Fraud

Cointime Official

April 28 (Cointime) - A South African executive has been ordered by a US judge to pay a record-breaking sum of over $3.4 billion in fines and restitution for his role in a Bitcoin-related fraud scheme. This action is the largest fraudulent scheme involving Bitcoin charged in any US Commodity Futures Trading Commission(CFTC) case.

According to the order, Cornelius Johannes Steynberg, the CEO and founder of Mirror Trading International Proprietary Limited (MTI), a company undergoing liquidation in South Africa, has been held accountable for fraud linked to retail foreign currency (forex) dealings, fraud by an individual associated with a commodity pool operator (CPO), registration breaches, and non-compliance with CPO regulations.

Under the order, Johann Steynberg has been directed to compensate defrauded victims with $1,733,838,372 in restitution and to pay a civil monetary penalty of the same amount, marking the largest civil monetary penalty ever issued in a CFTC case. Furthermore, the order permanently prohibits Steynberg from engaging in activities that breach the Commodity Exchange Act (CEA) as charged, registering with the CFTC, or trading in any markets regulated by the CFTC. 

According to CFTC, Steynberg solicited Bitcoin from the public through an international fraudulent multilevel marketing scheme, claiming to trade off-exchange retail forex through a proprietary “bot” or software program. Steynberg and MTI misappropriated all of the Bitcoin they accepted from pool participants without being registered as a Commodity Pool Operator (CPO), as required. 

The CFTC cautions that orders requiring payment of funds to victims may not result in the recovery of any money lost.  

Fraud
Comments

All Comments

Recommended for you

  • BTC Surpasses $71,000

    Market data shows that BTC has surpassed $71,000, currently priced at $71,007.73, with a 24-hour decline of 2.79%. The market is experiencing significant volatility, so please ensure proper risk management.

  • ETH Falls Below $2200

    Market data shows that ETH has fallen below $2200, currently priced at $2199.99, with a 24-hour decline of 3.64%. The market is experiencing significant volatility, so please ensure proper risk management.

  • ETH Surpasses $2200

    Market data shows that ETH has surpassed $2200, currently priced at $2201.53, with a 24-hour decline of 3.92%. The market is experiencing significant volatility, so please ensure proper risk management.

  • BTC Surpasses $71,000

    Market data shows that BTC has surpassed $71,000, currently priced at $71,007.05, with a 24-hour decline of 2.81%. The market is experiencing significant volatility, so please ensure proper risk management.

  • BTC Falls Below $71,000

    Market data shows that BTC has fallen below $71,000, currently priced at $70,974.17, with a 24-hour decline of 2.69%. The market is experiencing significant volatility, so please ensure proper risk management.

  • Trump: U.S. Navy to Begin Blockade of Strait of Hormuz

    U.S. President Trump: The talks between the U.S. and Iran are going well, with most topics reaching a consensus, but the only truly important nuclear issue has not been resolved. Effective immediately, the U.S. Navy will begin a blockade of any vessels attempting to enter or exit the Strait of Hormuz. I have also instructed the U.S. Navy to search and seize every ship in international waters that has paid a toll to Iran.

  • U.S. Negotiation Team Members Have All Left Pakistan

    On April 12, a U.S. official stated that after the U.S.-Iran talks concluded, all members of the U.S. negotiation team have left Pakistan. The official noted that personnel, including Witkoff, Kushner, and the technical team, did not remain in the capital of Pakistan, indicating that both sides will not immediately resume direct negotiations. Earlier that day, Vance mentioned at a press conference in Islamabad that the U.S. has not reached a consensus with Iran and will return to the United States. The negotiations between the U.S. and Iran in Islamabad ended on the 12th without any agreement. The Iranian side stated that the talks were conducted in an atmosphere of 'distrust and suspicion,' with both sides having differences on two or three key issues. The U.S. side claimed that it had clearly outlined its 'red lines,' but the Iranian side did not accept the U.S. conditions.

  • ETH Falls Below $2200

    Market data shows that ETH has fallen below $2200, currently priced at $2195.81, with a 24-hour decline of 1.97%. The market is experiencing significant volatility, so please ensure proper risk management.

  • BTC Surpasses $73,000

    Market data shows that BTC has surpassed $73,000, currently priced at $73,010, with a 24-hour increase of 3.3%. The market is experiencing significant volatility, so please ensure proper risk management.

  • Iranian Armed Forces Declare Readiness to Fire at Any Time

    On April 10, a spokesperson for the Central Headquarters of the Iranian Armed Forces, Khatam al-Anbiya, stated that due to the repeated breaches of trust by the United States and Israel, the Iranian Armed Forces remain on full alert and are ready to fire at any time. (Xinhua News Agency)

Daily Must-Read

Popular Activities

RaveDAO at Terra Solis by Tomorrowland: A Female-Led Techno Night Where Web3 Culture Converges

RaveDAO at Terra Solis by Tomorrowland: A Female-Led Techno Night Where Web3 Culture Converges

April 30 - April 30
Dubai

Popular Tags

Cointime
News
Contents
RSS
Company